The MUO famously changed its laws after transgender Miss Universe Canada contestant
Jenna Talackova was briefly disqualified to much public outcry that led to her reinstatement and the subsequent rule change.
She later placed in the Top 12.

GLAAD President
Herndon Graddick says in a statement, "Sheena Monnin apparently decided to quit, rather than be aligned with an organization that treats all women as women. As more and more Americans get to know transgender people in their communities, in the workplace and through the media, they are discovering the humanity that society has refused to acknowledge for so long. Monnin is out of touch with fair-minded Americans who believe that trans men and women are worthy of the same dignity, respect, and opportunity as all other men and women."

National Center for Transgender Equality President
Mara Keisling says, "As a trans person and a Pennsylvanian, I'm disappointed that the now former Miss Pennsylvania feels such bigotry toward trans people. She says she is upset about a lack of honesty and fair play in the contest, but the real lack of honesty may be her unwillingness to publicly express her apparent transphobia. There is also a real need for allowing honestly by trans women who are being their true selves."